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Chesapeake Energy said it plans to operate more rigs in the Utica Shale formation in Ohio, where the company has leased 1.25 million acres. The play is "likely most analogous, but economically superior to, the Eagle Ford Shale in South Texas," Chesapeake said in a statement. The company is also directing about half of its 2011 exploration budget to oil and petroleum liquids.

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Chesapeake Energy, EnerVest and an unnamed foreign firm have struck a $3.4 billion joint-venture deal covering the Utica Shale formation in Ohio. Under the terms, the unnamed company will get a 25% interest in 653,000 acres in the state. "This is a high-water mark in the Utica for now," said John Walker, president and CEO of EnerVest.

The Environmental Protection Agency proposed regulations that would limit emissions from hydraulic fracturing. The rules would require companies to have in place during drilling technology that captures natural gas, which in turn can be sold, EPA said. These rules are unnecessary because EPA "has already imposed stringent emissions limitations on engines used in oil and gas operations," said Howard Feldman, director of scientific and regulatory affairs at the American Petroleum Institute.

Noble Energy will increase its budget in the year's second half, as the company focuses on "new opportunities," said Chairman and CEO Charles Davidson. "We are accelerating a number of our development projects and we have also made important additions on the exploration side," Davidson said. Noble will use a portion of its budget to expedite the development of Israeli offshore natural gas finds.

ExxonMobil could scoop up additional exploration and production properties if it finds a good opportunity. "We of course are pursuing resources around the world including unconventional in the U.S.," said David Rosenthal, vice president of investor relations at ExxonMobil. Separately, the company said it has begun to replace a portion of its Silvertip pipeline that ruptured and leaked about 1,000 barrels of oil into Montana's Yellowstone River.

Valero Energy's Three Rivers Refinery in Texas is poised to benefit from the Eagle Ford Shale drilling boom because of its proximity to the play, officials said. The refinery is processing 35,000 barrels oil per day, but that is expected to increase to approximately 50,000 barrels a day by the end of the year. The plant could boost profit margins and limit costs by using more locally generated oil.